Liberator to finalize settlement agreement

Wednesday, December 23, 2015

STUART, Fla. – Liberator Medical Holdings has entered a definitive agreement to settle all allegations related to a complaint that it had violated the False Claims Act, it announced Dec. 22.

Liberator previously announced it had reached an agreement in principle to settle the allegations in a civil qui tam complaint. The mail order provider will pay $500,000, along with its share of the plaintiffs’ legal expenses, according to a press release.

Liberator was accused of engaging in illegal kickback arrangements with Coloplast. Other defendants included Hollister, 180 Medical, A-Med Health Care Center, Byram Healthcare Centers, CCS Medical, RGH Enterprises d/b/a Edgepark Medical Supplies, and Shield California Health Care Center.

Liberator in November announced that it would be sold to C.R. Bard, a manufacturer of medical devices for vascular, urology, oncology and surgical specialty supplies for $181 million. The deal is expected to close in the first quarter of 2016.